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While the German Smartphone Market Plunged 27% in Q2 due to COVID-19, Apple and Xiaomi bucked the Trend with Solid Growth

1 X cover iPhone SE


Germany smartphone sales saw a big fall of 27% in Q2 2020 compared to a year ago. Europe’s largest economy went into a nationwide lockdown in mid-March in an attempt to contain the COVID-19 outbreak. But this drastic measure ended up pushing the economy into a recession in the second quarter. The nation’s GDP decreased sharply to 10.1% while consumer spending shrank by 10.9%. Smartphone market tumbled due to closures of almost all physical shops and many consumers putting off their next smartphone purchase due to the prevailing economic uncertainty.


Apple saw growth with an increase in share to 23% from 16% a year ago. Apple’s growth in the second quarter was due to strong demand for the new iPhone SE 2020.


The affordable iPhone with new hardware caters to more price-conscious buyers amid a COVID-19-driven recession.


2 X chart  Germany smartphone market by brand


As Huawei begins to lose ground in Germany, Xiaomi is taking up the slack. In terms of sales figures, the Chinese company reported nearly a 250% jump compared to a year ago. Xiaomi’s best-selling model was the Mi 10 5G, priced at $700. Xiaomi also undertook aggressive marketing in Germany by opening its first Mi Store despite the pandemic situation.


Apple's iPhone SE was the right product and the right time. Not only did it help Apple in Germany in Q2 but also in South Korea where it became the best selling smartphone. 


10.0F1 - Apple Market Statistics Bar


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